Bit Digital, a prominent Bitcoin mining enterprise, has made a significant shift in its operational strategy by announcing its exit from Bitcoin mining in favor of focusing exclusively on Ethereum staking. This transition marks the company’s aim to evolve into a dedicated Ethereum staking and treasury firm.
In a statement released on Wednesday, Bit Digital revealed intentions to liquidate its Bitcoin mining assets, with plans to invest the resulting funds into Ethereum.
In May, Bit Digital reported a 17% decline in revenue for the first quarter of 2025 compared to the previous year. This downturn was attributed to a dip in digital asset mining revenue following the April 2024 halving, according to the company’s prior disclosures.
Notably, the firm experienced a staggering 64% drop in revenue from Bitcoin mining, having generated only 83.3 Bitcoin during the first quarter—representing an 80% decline year-on-year.
$BTBT Market Expansion: On June 25, 2025, Bit Digital, Inc. disclosed its subsidiary WhiteFiber, Inc.’s plans for a proposed IPO, further emphasizing its exclusive focus on Ethereum staking, as it currently holds 24,434 ETH valued at around $44.6 million. The company is set to decommission its Bitcoin-related activities…
— SEC Filings Digest (@USCorpFilings) June 25, 2025
Bit Digital’s Ethereum Holdings and Staking Infrastructure
Bit Digital, listed on Nasdaq, began acquiring ETH and developing its staking infrastructure in 2022. Since then, the firm has gradually expanded its holdings.
According to the official release, as of March 2025, the company possessed 24,434.2 ETH along with 417.6 BTC. Bit Digital has indicated its intent to convert its Bitcoin assets into Ethereum over the long term.
This strategic redirection coincides with Ethereum’s growing momentum following its transition to a proof-of-stake consensus model, which has garnered increasing traction within the cryptocurrency community.
Recent market activity shows Ethereum breaking above the $2,320 mark, with CoinMarketCap reporting bullish trends that suggest a potential advance towards the $2,550 threshold.
In a related development, Bit Digital announced plans to sell shares in order to allocate the proceeds towards acquiring more Ethereum. The firm will execute an underwritten public offering of its ordinary shares, with B. Riley Securities serving as the book-running manager for the offering.
Stock Market Reaction
Following the announcement, Bit Digital’s stock saw a sharp decline, dropping 3.7% upon market close on Wednesday, with an additional plunge of 4.3% in after-hours trading, as reported by Yahoo Finance.
The announcement regarding the pivot to ETH staking has raised concerns among investors, reflecting uncertainty even amidst significant strategic shifts in the company’s Ethereum initiatives. Currently, the New York-based firm boasts a market capitalization of $488 million.
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